Motor insurance drives rise in premiums at UK's esure

Reuters Staff

1 Min Read

Nov 8 - British insurer esure Group Plc said it expected 20-25 percent growth in full-year premiums as it reported a record quarter of premiums, helped by legal changes that raised the cost of motor insurance and rising demand.

The company, which provides insurance products to drivers, home owners, pet owners and holiday makers across Britain, said gross written premiums rose 25.4 percent to 625.8 million pounds ($823.1 million) in the nine months ended Sept. 30.

Motor gross written premiums jumped 30.4 percent to 561.5 million pounds in the nine months period.

The insurer also said it expected its full-year combined operating ratio to be at the lower end of its 96-98 percent range. A number below 100 percent indicates a profit.

The insurer said it remains “disciplined” in home insurance, as current market conditions do not provide opportunities for profitable growth. ($1 = 0.7603 pounds)